Minutes 09-08-2016 - Laserfiche WebLink

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18 spending it on the front end, or spending on the back end, as the fund balance always seems to get fed back in to the next budget. He said if the balance is moved to 16.2%, then next year there will be $1 million to reduce taxes or spend. He asked if there is a million dollars savings in the first year only, or every year going forward. Gary Donaldson said the fund balance is appropriated. Chair McKee clarified that the fund balance is only appropriated down to 17%. Bonnie Hammersley said yes. Gary Donalson said after the fund balance is appropriated, a projection is done in terms of how that metric aligns with the policy. He said this exercise happens each year. Chair McKee said he still does not understand an answer to his original question as to whether there will be savings every year. Gary Donaldson said there will be revenues and expenditures every year, and there has always been an appropriation of some level of fund balance. He said there is a target percentage that will be adhered to, and there will be a continuing savings every year. Commissioner Pelissier said the $1 million will not seem like a lot going forward, and it will not stretch as far in the years to come. She said there will always be more requests and additional monies needed. Chair McKee said his reservation is simple: he fears that the Board is doing the standard government tactic of grasping for more money to spend. Commissioner Burroughs said it will be a million more dollars of services that the Board will be able to provide, and that is the Board's job. She said there are needs for which more money must be grasped. Commissioner Rich said the excess money will be worked into the new budget, and the Board will spend the money up front rather than at the end of the budget. Commissioner Jacobs agreed with Chair McKee. He said government spending is like an accordion that expands and contracts, depending on external pressures or political will. He said the more easily it can expand, the more likely money is going to be spent. He said the only way to deal with that is to be rigorous in discussion and understanding of the burden of taxation. Chair McKee said he would be comfortable with a half percent drop. He said when working in government, one can never know what tomorrow will bring, and he would prefer to have a rainy day account. He would not want to see a pattern develop where the fund balance gets lowered every few years. Commissioner Burroughs asked if there is consensus on 16.2%. Chair McKee said he heard no objection and asked if staff could bring this item back in November. 4. Adjournment A motion was made by Commissioner Rich seconded by Commissioner Burroughs to adjourn the meeting at 10:26 p.m. VOTE: UNANIMOUS Earl McKee, Chair Donna Baker Clerk to the Board